The non-static, changing correlation between precious metals and equities is something we’ve written about several times in the past few years. We last wrote about this in June in Epic Opportunity in the Gold Stocks (http://www.gold-eagle.com/article/epic-...
Gold Editorials & Commentary
Gold-Eagle gold and precious metal news, market analysis and editorials from world renowned gold analysts and market experts. Stay informed with the latest news and analyses on gold prices and perspectives on the economy to guide your investing decisions.
January 30, 2014
During the past 42 years gold has far out-performed the Dow Stock Index and the US Real Estate market. Surely this will be an astounding revelation to most investors. Here are the charts showing the early price trajectory of these three asset classes since 1972.
January 29, 2014
Bear markets always end. Has this one? Evidence is mounting that the bottom for gold may be in. While there's still risk, there's a new air of bullishness in the industry, something we haven't seen in over two years.
We have been writing about the bottoming process of the Gold Bear Cycle since December 4th 2013, and our most recent article on December 26th reiterated that the best time to accumulate the Gold/Silver stocks was in the December and January window.
Every week, our investment team reviews a variety of sources to formulate a summary of the top events in the gold, resources, and emerging markets. The results are categorized in terms of Strengths, Weaknesses, Opportunities and Threats. Investors can use this SWOT...
You have gold in your investment portfolio, but you've been watching the price tumble down, down, down. Is now the time to sell? According to some people, yes it is. But, before you ditch the pretty yellow metal, you should understand why gold is falling and what...
January 28, 2014
In early January, the S&P/TSX Venture Composite Index rose above the 200-day moving average for the first time in three years. The index is also very close to experiencing a golden cross, which is when the shorter-term 50-day moving average crosses above the 200...
While global stock markets have not done well since “taper number one” was announced in December, the performance of gold stocks since then has been superb.
You would think that an asset that had been in a rip-roaring bull market for a dozen years and finally, after all that time, suffered an annual decline would still garner some attention and respect. Yet such is not the case with that most desirable of metals known...
It seems as if all the major Wall Street institutions are bearish on gold, even after a 2+ year bear market and a major pullback. At first glance you might be a little discouraged by reading major bank after major bank release a lower forecast on the price of gold...
January 27, 2014
One could only hope that after nine, nauseating months of lies and half-truths from the U.S. Federal Reserve and mainstream media on so-called “tapering” that we would be spared any more of this nonsense in 2014. Sadly, since the mainstream propaganda machine found...
It’s always interesting to go back a month prior to a major market event, to see what analysts or news letter writers predicted about what direction a specific market would go. Late November and December was particularly interesting due to the incredible bearish...
On the supply side, we note that newly mined gold supply in 2013 was around 2,800 tonnes [final figures yet to be published] and scrap gold was around 1,400 tonnes, before U.S. sales [which were around 1,200 tonnes in 2013]. That totaled 5,400 tonnes.
There is a lot we could discuss in this Weekend Report from the price action in the US stock markets to the world stock markets. As we are almost fully invested in the precious metals complex, and especially the juniors at this time, I think we need to put aside all...
January 26, 2014
Gold’s technical picture has improved since the last bullish update just over a month ago, but it has still not broken out the intermediate downtrend that started back last August, which we can see drawn on the 8-month chart shown below.
Two weeks ago we wrote that the NYSE Cumulative Advance Decline Line was warning that a significant decline in stocks was coming. Well, stocks plunged this week, especially Thursday and Friday.
Someone once said “It is tough to make predictions, especially about the future”. Regardless, it is tough to make predictions in a Fiat Currency World where you are betting against the Central Banks, led by the Federal Reserve Bank, operating in a smoke &...
Last month I warned about the bubble in the stock market, and what was going to happen when it popped. Make no mistake the chart of the S&P is the most dangerous chart in the world. When this parabolic structure collapses, it is going to bring down the global...
January 25, 2014
We are at the doorstep of a major USTreasury Bond breakdown. The TNX (10-year bond yield) is at the 3.0% doorstep, as 3.5% looms very likely in the coming months. A horrible threat of a 3.7% target is presented in the chart. A rising trend is seen in many...
A bad week for markets as Thursday and Friday saw heavy, heavy selling and we have now broken a very bearish pattern in the index charts which, I’ve talked about here for the past week or so We could have a ways to go in this general correction but we are due...
Long term – on major sell signal since Mar 2012. Short term – on buy signals. Gold sector cycle – up as of 12/27. COT data continues to be favorable for a bear market rally.
Our equity/bond model - This long term reliable investing model provides investors with simple decision making in the markets:
January 24, 2014
The Fed surprised markets with its December decision that the economy is strong enough to stand on its own with less stimulus. The majority of economists and analysts expected it to wait until March for more evidence to accumulate.
Chart Analysis On Gold, Metals & DMA Victory Chart via videos.
In short: Opening a speculative short position (half of the regular position) in gold, silver and mining stocks might be a good idea right now.
Gold is bottoming, showing incredible resilience over the past 7 months. After suffering an epic plunge in last year’s second quarter, gold has held its ground ever since. This is despite still facing the same howling headwinds that forced that extraordinary...
By December, the most recent month for which statistics are available, the US dollar Fiat Money Quantity (FMQ) had grown to $12.48 trillion. This is $5.05 trillion more than if it had grown in line with the established average monthly growth rate from 1960 to the...
At the start of the year we asserted that the mining equities could lead the metals higher. Since then, the shares have roared higher while the metals have remained subdued. Gold has gained a bit but Silver has really struggled. Why are the stocks performing so well...
By now, most observers have heard of precious metals price manipulation. As the issue creeps into the mainstream, more and more investors will come to understand it - along with its vast implications.
January 23, 2014
For the first time since the end of World War II, the total US federal debt now equals 100% of the size the US economy. But while that is obviously a situation of great concern, it may not be the worst of the danger.